I took a look at your directory and it looks pretty good. A suggestion though, if you want folks to link to you, give them your link details so they can link first...like Title, URL, Description.
Your specifications for linking are also kind of intimidating, i.e. you want to hand pick those websites to link to, and they must be in the home improvement industry. Not a bad method, however, it would probably behoove you to go and get links from those you want to link to instead of waiting for them to come to your directory thinking they may spend a lot of time filling out the form and then be rejected. So, set up some guidelines for linkers.
Your site is currently PR0 and you really can't afford to be too picky about sites during this stage. Once you get
PR, you can be a lot more picky. Your terms for linking can be much stricter as you get
PR.
You may be better off starting with some Key Link Partners that you go out and get. Once you get
PR, you will have lots of people wanting to link, then picking and choosing will be much easier.